Budget Cuts

 

Ethical Reflection

C                     Government is to promote general welfare of its people

C                     A society is measured by how it treats its most vulnerable citizens

C                     Only government can provide equitable care

C                     A moral budget should reflect values of equality, opportunity and justice

 

Background

C                     Budgets passed by Senate and  House

C                     extend tax cuts for the wealthy

C                     cut benefits/services for vulnerable populations

C                     shift costs of some programs to states

C                     These actions show we value

C                     military might and war spending over poor families and viable communities

C                     tax relief for wealthy over needs of poor families and economic despair of communities

 

Impact of Budget Proposals

Discretionary programs (those appropriated each year): Bills give only overall level of cuts but not how individual  programs as education,
workforce training, child care, WIC, LIHEAP (heating assistance) and  Head Start fare.

 

Entitlement programs: Resolutions regarding programs such as Medicaid, Food Stamps, Foster Care, Earned Income Tax Credit, SSI and TANF
include spending instructions to committees.

 

Medicaid

70% of Medicaid dollar spent on elderly and disabled while children and low-income families use about 7%           

C                     Reimbursement cuts to health providers mean reduced services and jobs lost in communities

C                     Medicaid costs growing slower than private insurance costs. 

C                     Medicaid costs growing  primarily because

C                     more low-wage working people have jobs that don=t offer health insurance

C                     more elderly living longer

C                     passage of Family Health Plus in 1999 made more people eligible

 

Supplemental Security Income

Cuts in SSI  will make it harder for those with disabilities to afford basic necessities

 

Earned Income Tax Credit

Elimination of EITC means a raise in taxes for low income working families that receive a credit when filing income tax.

 

Other Cuts With High Impact on Children

C                     cuts in foster care jeopardizes abused and neglected children

C                     cuts in basic nutrition programs affect

C                     children=s health and learning abilities

C                     safety net services in communities 

 

Action Requested

C                     Adopt a budget providing basic needs of poor families for food, child care, housing, education and jobs with a liveable income

C                     Scale back tax relief for the wealthy, close corporate loopholes, hold military and war spending in check and maintain funding for
 programs like CCDBG in Washington

 

(4/2005)